Amundi, the largest European asset manager, announces the launch of a comprehensive range of Net Zero Ambition funds across the main asset classes. This suite of actively and passively managed funds, detailed below, is open to institutional and retail investors and will seek out companies best equipped to support the transition of the economy to a low carbon model, enabling us to reach the global objective of Net Zero by 2050.

Governments and companies have a responsibility to decarbonise economies by setting testing emission reduction targets. The financial and investment industry is a vital catalyst in this race to Net Zero. As the European leader in asset management, and a member of the Net Zero Asset Manager initiative, we are developing solutions for clients that facilitate the transition while seeking strong risk-adjusted returns for investors, looking to respond to different investor needs and profiles.

These Net Zero strategies also support Amundi’s “ESG Ambition Plan 2025” as well as Crédit Agricole Group’s Societal Project, and in particular Amundi’s plan to achieve a faster path towards decarbonisation by designing solutions that seek to address investors’ requirements and preferences when it comes to responsible investment implementation. Engagement with issuers is key to fostering concrete changes and the funds will leverage Amundi’s robust active stewardship policy, in order to help companies integrate Net Zero trajectories in their business models.

See related article: Amundi Cuts EU Sustainability Grade of 100 Funds

All of Amundi’s actively managed Net Zero Ambition strategies have set a common intermediary objective of reducing their portfolios’ carbon intensity by 30% by 2025 and 60% by 2030 compared to 2019. However, we believe there is no “one size fits all” when it comes to Net Zero portfolio construction. As such we are proposing a suite of strategies that integrate ESG considerations with a Net Zero ambition pathway, using differing approaches with a common philosophy: assessing the credibility and feasibility of Net Zero by moving away from pledges towards action, and selecting companies best equipped to transition to Net Zero by 2050 with regards to their carbon reduction pathway.

Vincent Mortier, Group CIO at Amundi, said: “Trillions of euros of capital will be needed to speed the path to decarbonisation, which cannot be done by governments alone. The global asset management industry – which is expected to be managing over $145 trillion by 2025 – has the scale to make things happen and trigger the momentum required to get the world to Net Zero.

This is why, as a European asset management leader, we are launching the Net Zero ambitions range across active, passive, and real assets, so investors can fuel the transition and put their savings to work, while earning investment returns. It is also critical to provide investors with a wide range of choices in order to help them align their investments to a Net Zero decarbonisation pathway.”